Volvo Auto India has said that the acquisition of Volvo by China’s Geely will not affect its plans for India. The possibilities of the Chinese carmaker entering India through it has also been denied by the company.
On Monday, the US automaker Ford Motor’s Swedish car unit Volvo Cars was bought by the Zhejiang Geely Holding Group for a USD 1.8 billion.
Volvo Cars started its operations in India last October as a wholly-owned subsidiary and was renamed as Volvo Auto India Pvt. Ltd. Later, Volvo Cars decided about its India operations on its own and launch of its various models followed.
“After what happened yesterday, Volvo will continue to be an independent division of Geely, headquartered in Sweden. We will directly report to Volvo in Sweden,” Volvo Auto India Managing Director Paul de Voijs said.
“We will continue with our own plans that have been announced earlier, which includes new products and network expansion,” he said.
Volvo India currently sells two models in India, the S80 priced Rs 38-44 lakh at and crossover XC90 priced at Rs 42.50-48.50 lakh. Both the units are imported from the company’s Sweden and Belgium plants.
Having Euro III norms across the country, except the thirteen cities, means that we are implementing norms that are ten years behind Europe. The automobile industry and oil companies need to work together to tackle the problem.